(2) Appointment to a Position at Grades GS-11 and
above. Section 5333 of Title 5 United States Code,
permits the appointment of a new employee at a rate
above the entrance rate for the following
considerations: (a) the candidate's unusually high or
unique qualifications, (b) the candidate's existing
pay, or (c) a special need for his/her services. Prior
approval must be obtained from the Bureau Director. An
SF-59, Request for Approval of Noncompetitive Action,
is to be prepared for the signature of the Servicing
Personnel Officer with the concurrence of the Bureau
Personnel Officer and approval of the Director.
Complete justification must be submitted with the
request. A request may also be made in the case of a
reappointment with a break in service of at least 90
calendar days. However, the break-in-service
requirement does not apply where last employment was as
follows: (a) under an appointment as an expert or
consultant, (b) under a temporary appointment in
furtherance of a postdoctoral research program or as a
part of a predoctoral or postdoctoral training program
during which a stipend was received, (c) under a
temporary appointment of a graduate student when the
work was used as a basis for completing certain
academic requirements for an advanced degree, (d)
employment as a member of the Commissioned Corps of
either the National Oceanic and Atmospheric
Administration or the Public Health Service, (e)
employment which was not both fulltime and the
candidate's principal employment, or (f) appointment
under the Intergovernmental Personnel Act.

B. Position or Appointment Changes. An employee who is
reemployed, reinstated, transferred, promoted, reassigned,
changed to lower grade (except where grade or pay retention
benefits apply - Paragraphs 5 and 6 respectively) may be
paid any step rate in the new grade which does not exceed
his highest previous rate SUBJECT TO THE PROVISIONS AND
EXCEPTIONS STATED BELOW. This also applies to a conversion
or change from one type of appointment to another either in
the same position or to a different position.

(1) The criteria in paragraph 4 must be met.

(2) Any action that results in a promotion between
General Schedule positions without a break in service
will be made at a rate equivalent to 2 step increases
above the employee's existing rate. If an employee is
receiving a rate above the maximum of his/her grade and
there is no rate in the higher grade which is at least
two steps above his/her existing rate, the top step or
the existing rate is given whichever is higher. (See
paragraphs 5 and 6 when promoting an employee with
retained grade or retained pay.)

(3) If the higher previous rate falls between two step
rates of the new grade, the higher step rate may be
given.

(4) The rate given cannot be less than the established
minimum rate for the position.

(5) If the highest previous rate rule is not applied
when an employee is reappointed within 1 year after
separation from the Department by reduction in force,
his/her rate is fixed to preserve as nearly as possible
the rate received at the time of separation adjusted to
subsequent increases in the pay schedule.

(6) The rate of an employee repromoted after a change
to lower grade within the Survey in lieu of separation
by reduction in force or displacement is fixed so that
he/she will not get less than the step rate previously
held in the higher grade, unless otherwise provided by
law.

(7) The rate of an employee reassigned within USGS or
by transfer from another agency without a grade change
shall be fixed so that it will not be less than his/her
existing rate, unless otherwise provided by law.

(8) A change to lower grade after a temporary
promotion is made to the former salary rate (unless
otherwise provided by law) plus any within-grade
increases which the employee would have earned in the
lower grade, or to an augmented rate for which he/she
would have been eligible had the employee remained in
the lower-grade position. Based upon the merits of a
specific case, the pay rate received during the
temporary promotion may be used in establishing the
rate upon change to lower grade provided the criteria
and instructions in paragraph 4A(2) pertaining to
highest previous rate are applied.

(9) The rate of an employee changed to lower grade
because of unsatisfactory performance will be set at
the minimum rate of the lower grade. Exception: If an
employee is returned to a position held during a
current continuous period of service in which the
employee had performed satisfactorily, the rate may be
set at the rate the employee would have received had
he/she remained in that position.

(10) If a change to lower grade is voluntary or at the
request of the employee, his/her pay may be adjusted to
any rate which does not exceed the employee's existing
rate of pay or, if his/her existing rate of pay falls
between two rates of the lower grade, the employee may
be given the higher rate, unless otherwise provided by
law. (See paragraph 3B(11) below for exception.)

(11) If a change to lower grade is for the purpose of
acquiring competitive status, the employee's pay will
be adjusted to a rate which upon repromotion as soon as
legally possible with the required two-step increase
would result in the rate he/she would have received had
the employee remained continuously in the higher grade.

(12) If upon post audit the Office of Personnel
Management reduces the grade of a position which was
reallocated by USGS without fundamental change after
the Office of Personnel Management had previously
placed it in a lower grade, the employee's salary
reverts to that previously held in the lower grade plus
any within-grade increases to which he/she would have
been entitled.

(13) Upon termination of Agency for International
Development (AID) assignment with reemployment rights,
the employee's salary may be set at any rate which does
not exceed his/her highest previous rate subject to the
criteria given in paragraph 4. The salary, however,
shall not be less than the rate of the position
occupied prior to the AID assignment plus any
within-grade increases and any mandatory pay
adjustments to which the employee would have been
entitled had he/she remained in the position, and if
the return is made to a higher grade, the two-step
increase upon promotion requirement must also be
applied.

(14) The rate of an employee changed from a
non-shortage category position to a shortage category
position (see SM 370.530.3, Attachment 1) is set as
follows:

(a) Reassignment. Employee is given the rate for
the numerical step in the shortage category table
which corresponds to his/her existing numerical
step.

(b) Promotion. First, the two-step increase rule
is applied in the usual manner. The numerical
step in the higher grade thus ascertained becomes
the numerical step of the shortage category table
and the employee is given the corresponding rate.

(c) Demotion. (Except where grade or pay
retention benefits apply.) First, determine, in
the normal manner, the numerical step in the lower
grade to be applied. The numerical step thus
determined becomes the numerical step of the
shortage category table and the employee is given
the corresponding rate.

(15) An employee who is removed from a supervisory or
managerial position is entitled to be placed in a
position with a grade and pay no lower than the one the
employee left to accept the supervisory or managerial
position.

(16) If promotion is from a position covered by the
Performance Management and Recognition System (PMRS)
(formerly called the Merit Pay System), the rate of pay
will be set at the lowest step of the General Schedule
grade to which promoted for which the rate of basic pay
exceeds the employee's existing rate of basic pay by an
amount equal to six percent, or at the minimum rate of
the higher grade, if that rate is higher.

(17) An employee who loses his/her PMRS status as a
result of change in the coverage determination is
entitled to basic pay at the lowest rate of the grade
of his/her position that is equal to or greater than
his/her existing rate of basic pay under the PMRS.

(18) The conversion of an employee who, together with
his/her position, is brought under the General Schedule
is covered by the grade and pay retention provisions
(see paragraphs 5 and 6, respectively.)

(19) An employee who accepts a change to lower grade to
enter a formal Upward Mobility Program is entitled to
pay retention. His/her rate of basic pay will be set
in accordance with instructions in paragraph 4.

4. Higher-than-minimum and Highest Previous Rate Criteria.

A. Appointments of Other or Former Federal Employees.

(1) To same or similar occupation. Normally the
salary of an appointee with prior Federal service is
fixed at the step of the grade to be filled which is
computed by establishing the highest step rate in that
grade based upon all prior Federal service in the same
or higher grade which is in the same or similar line of
work. Exceptions are:

(c) Any deviation from this policy must be
justified in the remark section of the Request for
Personnel Action. (See SM 370.296.1 for pertinent
statement.)

(2) To different occupation. In fixing a rate higher
than the minimum for an appointee with no experience in
the same or similar line of work, consideration will be
given to the following and a statement must be included
in the remark section of the Request for Personnel
Action giving the basis for granting the rate.
(Exception: Mandatory requirements in paragraph 3B
must be met.)

(a) Employee's service history.

(b) Quality of pertinent experience and
background.

(c) Difficulty in recruiting or retention.

(d) Effect on morale of other employees.

B. Change Actions. The same criteria and instructions
given in paragraph 4A(2) are to be applied whether action
involves a change to the same or a different occupation.

C. Computation of Highest Previous Rate.

(1) The highest previous rate is based on a regular
tour of duty at such rate (a) under an appointment not
limited to 90 days or less regardless of length of
action service of (b) for a continuous period of 90
days under one or more limited short-term appointments
without a break in service. This precludes using
salary under intermittent employment as the highest
previous rate.

(2) The highest previous rate may not be based on a
rate received under an expert or consultant
appointment.

(3) The highest previous rate may not be based on a
rate established under section 5303 of Title 5, United
States Code (special salary rate authorized for
shortage category positions.) A reconstructed highest
previous rate is used which is the rate the employee
would have received had not section 5053 been applied,
plus any within-grade increases he/she have earned on
that rate.

Prior Office of Personnel Management approval to use
the special rate as the highest previous rate may be
requested when an employee is reassigned to a position
for which no special rate or a lesser special rate has
been established, and it is determined that there is a
significantly greater need for the employee's services
in the position to which he/she is being reassigned.
Such requests are to be sent to the Department through
the Office of Personnel and the justification statement
shall include, if possible, any cost benefits that can
be reasonably expected should the request be approved.

(4) Additional compensation such as foreign or
nonforeign post differential or cost-of-living
allowance cannot be used in determining highest
previous rate.

(5) If the highest previous rate was earned in a
General Schedule position, it shall be increased by any
subsequent statutory amendments to the General
Schedule.

(6) If the highest previous rate was earned in an
unclassified position, the equivalent General Schedule
rate is obtained as follows: The earned rate is changed
to an annual rate and then compared to the General
Schedule in effect as of the time of service to find an
equivalent annual rate. The equivalent rate thus
determined is converted to the corresponding rate under
the current General Schedule. However, if the same
rate as the earned rate occurs within two or more
grades, the rate which gives the employee the maximum
benefit upon conversion to the current pay schedule is
selected. If a rate which is the same; as the earned
rate does not occur in the pay schedule, the equivalent
rate is the higher of the rates between which the
earned rate falls. If the earned rate falls between
the rates of two or more grades, the equivalent rate is
the one which gives the employee the maximum benefit
when it is converted to the current pay schedule.

Hourly and per diem rates are changed to annual rates
as follows: Multiply per diem rates by 260. Multiply
hourly rates by 2080 for actions effected prior to
October 1, 1983. Multiply hourly rates by 2087 for
actions effected October 1, 1983, or later.

5. Grade Retention Benefits. Section 5362 of Title 5, United
States Code provides a 2-year period of grade retention for
certain employees who are demoted. If, during the 2-year period
of grade retention, the employee is further reduced in grade
under circumstances also entitling him/her grade retention, the
employee continues to retain the previous retained grade for the
remainder of the original 2-year period. At the end of that
period, the employee retains the grade of the position from which
further reduction in grade was made for 2 years from the date of
the further reduction.

A. Basic Eligibility.

(1) Employee must hold an appointment that is other
than on a temporary or term basis.

(2) If demotion is a result of reduction-in-force
procedures, the employee must have served
52-consecutive weeks or more at a grade or grades
higher than the grade to which demoted.

(3) If demotion is a result of employee's position
having been reclassified at a lower grade, the position
being reduced must have been classified at a higher
grade or grades for a continuous period of at least 1
year immediately before the reduction.

(4) When an employee who is serving a period of grade
retention in another agency transfers to USGS,
entitlement to grade retention continues for the
balance of the original 2-year period, if the grade of
the position to which the employee is assigned in USGS
is no lower than the grade of the employee at the time
of the original grade retention.

B. Optional Grade Retention. It is the policy of USGS to
grant optional grade retention to an employee who is not
entitled to mandatory grade retention benefits and who meets
the basic eligibility requirements in paragraph 5A when the
employee moves to a position in a lower grade during a
reorganization, or reclassification, that has been announced
in writing.

C. Exclusions. Grade retention shall not apply to an
employee who:

(1) Is reduced in grade for personal cause or at the
employee's request.

(2) Does not satisfactorily complete the supervisory
or managerial probationary period prescribed by section
3321(a)(2) of Title 5, United States Code and is
removed from his/her supervisory or managerial
position.

(3) Is changed to lower grade at the expiration of a
temporary promotion. If employee is temporarily
promoted during a grade retention period, the temporary
promotion has no effect on his/her grade retention
entitlements.

D. Determination of Retained Grade.

(1) An employee who is serving on a temporary
promotion at the time he/she becomes eligible for grade
retention is entitled to retain the grade to which
he/she would have been entitled had not the temporary
promotion occurred.

(2) An employee who is reduced in grade from another
position in the General Schedule, or a position under
the Federal Wage System or PMRS is entitled to retain
the grade held immediately prior to the reduction in
grade.

(3) An employee who is reduced in grade from a
position not under the General Schedule, Federal Wage
System or PMRS retains the lowest grade in the General
Schedule which has a representative rate of the grade
held immediately before the reduction. If there is no
grade in the General Schedule with a representative
rate equal to or higher than the representative rate of
the grade held immediately before the reduction, the
employee retains the highest grade in the General
Schedule.

E. Determination of Rate of Basic Pay.

(1) The rate schedule which will be used to establish
the employee's rate of basic pay is that schedule which
applies to the:

(a) Geographical area in which the employee is
actually assigned.

(b) Occupational series of the position to which
the employee is assigned.

(c) Retained grade.

(2) The rate of basic pay an employee is entitled to
upon commencement of grade retention is the greater of:

(a) His/her rate of basic pay held before the
movement.

(b) The rate of basic pay from the applicable
rate schedule for the grade and step held by the
employee immediately before the movement.

(c) The lowest rate of basic pay from the
applicable rate schedule for the retained grade
which equals or exceeds the employee's rate of
basic pay before the movement.

(3) If the employee has a retained rate or saved rate
under some other authority other than 5 U.S.C. 5362
when he/she becomes entitled to grade retention, the
employee is entitled to whichever is greater:

(a) The maximum rate of his/her retained grade.

(b) His/her rate of basic pay held before the
movement.

(4) If one grade retention period follows another
grade retention period the employee is entitled to
either:

(a) The lowest rate of basic pay from the
applicable rate schedule which equals or exceeds
the employee's current rate of basic pay.

(b) If there is no such rate, the employee is
entitled to his/her current rate or 150% of the
maximum rate of his/her retained grade, whichever
is less.

(5) If the rate of the basic pay to which the employee
is entitled is within the rate range of the retained
grade, the employee's retained step will be the
applicable step for the basic rate of pay. If the rate
is not within the rate range, the employee's retained
step will be 00.

F. Pay Determination During Grade Retention Period.

(1) Within-grade Increases. An employee is entitled
to within-grade increases in the retained grade.

(2) Comparability Increases.

(a) An employee who, at the time of a
comparability increase, is receiving a rate of
basic pay within the rate range of the retained
grade is entitled to an increase as determined by
the appropriate law and regulation.

(b) An employee who is receiving a rate of basic
pay outside the range of the retained grade will
have his/her rate in creased in the maximum rate
of the employee's retained grade if the employee
is receiving the rate under 5 U.S.C. 5362. If the
employee is receiving this rate under some other
authority, the employee will receive an increase
as provided by the authority.

(c) An employee whose grade retention was granted
at the option of the agency will receive 50% of
the comparability increase.

G. Loss of Eligibility. Grade retention ceases to apply to
an employee who:

(1) Has a break in service of 1 workday or more.

(2) Is demoted for personal cause or at the employee's
request.

(3) Is placed in a position the grade of which is
equal to, or higher than, the retained grade.

(4) Declines a reasonable offer of a position, the
grade of which is equal to, or higher than, the
retained grade.

(5) Elects in writing to have the benefits of grade
retention terminate.

(6) Fails to enroll in a program providing priority
consideration for placement when grade retention
entitlement was provided.

(7) Fails to comply with reasonable written
requirements established to assure full consideration
in a program providing priority consideration for
placement.

H. Effective Date of Termination.

(1) Day before placement if the termination is the
result of the employee's placement in another position.

(2) At the end of the last day of the pay period in
which the employee:

(a) Declines a reasonable offer.

(b) Elects to waive grade retention benefits.

(c) Fails to enroll in a program providing
priority consideration for placement.

I. Establishing Salary Rate Upon Termination of Grade
Retention.

(1) If upon expiration of the grade retention period
the employee is entitled to pay retention, his/her rate
of basic pay will be set in accordance with paragraph
6C.

(2) If employee is placed in another position during
the grade retention period which is equal to his/her
retained grade, the employee's entitlement to a rate of
basic pay is determined essentially in the same manner
as when the grade retention period commenced (see
paragraph 5.E.)

(3) If employee is promoted to a grade which is higher
than his/her retained grade, the employee's rate of
basic pay in the new grade will be determined in
accordance with paragraph 3B.

(4) If the entitlement is terminated for any other
reason, the employee's rate of basic pay will be set in
accordance with the highest previous rate rule.

J. Documentation. An employee who is entitled to grade
retention will receive, in addition to the Notification of
Personnel Action (SF-50) documenting entitlement to grade
retention, a letter from the servicing personnel office
describing the circumstances warranting the grade retention
and the nature of the entitlement.

A. Applicability. Employee's whose rate of basic pay would
otherwise be reduced as a result of:

(1) Expiration of 2-year period of grade retention.

(2) Reduction-in-force or reclassification when the
employee does not meet the eligibility requirements for
grade retention.

(3) A reduction or elimination of schedule rates, or
as a result of the reduction or elimination of special
schedule or special rates.

(4) Placement from a special rate position to a
non-special rate position, or to a lower special rate
position.

(5) Placement in a different pay schedule.

(6) Placement in a formal employee development Upward
Mobility Program or Career Intern Program or an
Apprenticeship Program utilized Governmentwide.

An employee who transfers to USGS while in receipt of pay
retention from another agency is entitled to continue pay
retention.

B. Optional Pay Retention. The policy of USGS is to grant
pay retention to eligible employees whose rate of basic pay
would otherwise be reduced as the result of a management
action or to accommodate handicapped or disability cases.

C. Determining Rate of Basic Pay.

(1) An employee is entitled to the lowest scheduled
rate of basic pay in his/her grade after the action is
taken which equals or exceeds his/her current rate of
basic pay, and will be placed in the step appropriate
for that rate. If there is no such rate, the employee
is entitled to retain either his/her current rate of
basic pay or 150% of the maximum rate of basic pay for
the employee's grade after the action is taken,
whichever is less.

(2) When an employee who is receiving a retained rate
or saved rate under some other authority is affected by
an action covered by pay retention, the employee's rate
of basic pay will be determined in accordance with
paragraph 6C(1) above. Whether the employee is
entitled at the same time to continue the retained or
saved rate under the older authority will be determined
under those statutory and regulatory provisions
providing for the retained or saved rate.

(3) An employee, while receiving pay retention, is
entitled to 50% of any comparability increase in the
maximum rate of his/her retained grade. If, as a
result of the increase, the employee's rate of basic
pay becomes equal to or less than the maximum rate of
his/her grade, the employee is entitled to that maximum
rate and pay retention terminates.

(4) An employee who is serving on a temporary
promotion at the time he/she becomes eligible for pay
retention is entitled to retain the rate of basic pay
to which he/she would have been entitled had not the
temporary promotion occurred.

D. Loss of Eligibility. Pay retention ceases if any of the
conditions listed below occurs:

(1) The employee is entitled to a rate of basic pay
which is equal to or higher than the rate to which the
employee is entitled under pay retention.

(2) Has a break in service of 1 workday or more.

(3) Is demoted for personal cause or at the employee's
request.

(4) Declines a reasonable offer of a position for
which the rate of basic pay is equal to or higher than
the rate to which the employee is entitled under pay
retention. If the employee's entitlement ceases as a
result of paragraph 6D(2), 6D(3), or 6D(4) above,
his/her rate of basic pay will be set in accordance
with the highest previous rate rule.

E. Effective Date of Termination.

(1) The day before placement if the termination is the
result of the employee's placement in another position.

(2) The end of the last day of the pay period in which
the employee declines a reasonable offer.

F. Documentation. An employee who is entitled to pay
retention shall receive, in addition to the Notification of
Personnel Action (SF-50) documenting entitlement to pay
retention, a letter from the servicing personnel office
describing the circumstances warranting the pay retention
and the nature of the entitlement.

7. Increasing Supervisor's Pay If Less Than Wage Board
Employees.

A. Authority. As provided by Sec. 5333(b), Title 5 United
States Code, the pay of a General Schedule employee who
regularly supervises one or more wage board employees may be
adjusted to a step rate of his/her grade which is above the
highest rate paid to any wage board employee under his/her
supervision provided consideration is given to the equities
between supervisors as well as the equities between the
supervisor and the wage board employees.

B. Eligibility Requirements.

(1) The supervisor must have continuing
responsibility, which is reflected in his/her official
position description, for supervising one or more wage
board employee.

(2) The supervisor must perform the following duties
either personally or through intermediate wage board
supervisors:

(a) Determine work assignments.

(b) Review work products for which responsibility
requires the application of substantial subject
matter or technical knowledge.

(c) Plan and organize work with particular
consideration to the distribution of assignments,
workloads, priorities, and completion schedules.

C. Comparing Pay Rates. In comparing rates only the basic
pay is used. Additional compensation such as overtime pay
and night differential is disregarded. However, when the
supervisor is in an area where he/she receives a
cost-of-living allowance or post differential and the wage
board employee he/she supervises does not receive such
separately stated additional compensation, the allowance or
differential is added to the super visor's basic pay rate.
A "retained rate" held by a wage board employee is also
disregarded. Instead, the highest regular prevailing rate
for the position is used.

D. Rate Payable. Pay is adjusted to the nearest rate of
the supervisor's grade (but not above the maximum) which
exceeds the highest rate paid to any wage board employee
regularly supervised.

E. Procedure.

(1) Requests for pay adjustment are to be submitted to
the appropriate personnel office as a Request for
Personnel Action (see SM 370.296.1). The names of the
wage board employees whose rates are higher than the
supervisor shall be included and the specific rates
cited.

(2) The appropriate personnel office, upon
determination that the requirements are met and
equities considered, approves the pay adjustment which
is recorded on a Notification of Personnel Action
(SF-50.) The pay adjustment is effected the pay period
following the approved date and will be considered as
an equivalent increase in compensation when
establishing the beginning date for a within-grade
increase.